Broker research reports for stocks which have been downgraded by brokers. Both recommendation downgrades,
as well as share price target downgrades are available for companies in Industry - Diversified.
Broker Research reports: latest Downgrades
for Industry - Diversified
Godrej Industries (GIL) generates major value from its listed subsidiaries and associates viz. Godrej Consumer, Godrej Properties and Godrej Agrovet. As per I-Sec target prices for Godrej Consumer, Godrej Properties and Godrej Agrovet and 50% holdco discount, GIL’s value works out to INR 760/share.
Godrej Industries (GIL) generates major value from its listed subsidiaries and associates viz. Godrej Consumer, Godrej Properties and Godrej Agrovet. As per I- Sec target prices for Godrej Consumer, Godrej Properties and Godrej Agrovet and 50% holdco discount, GIL’s value works out to Rs628/share.
Prevailing holdco discount at 55%, two-year average at ~45% Godrej Industries derives its primarily value from its holding in other group companies. Its share of holding as of date (November 2019) has a market value of ~| 33,000 crore vs. its prevalent market capitalisation of ~| 15,000 crore, thereby implying a holding company discount of ~55%. In the past two years, we have seen this holding company discount averaging at ~45%, providing us hope of prevalent discounts converging towards their mean. Exhibit 1: Holding company discount trend...
Chemical segment revenues jumped 51% yoy to Rs 5.8bn led by higher volumes (+34% yoy) and firm realizations (45% yoy) and was above our est of Rs 5.0bn. Company reported highest ever quarterly EBIT margins at 42% (+1800bps yoy and 500bps qoq). Sugar segment revenues increased to Rs4.3bn (+15% yoy) but was below our estimate of Rs4.9bn. Sugar segment profits dropped by 45% yoy to Rs488bn due to softness in sugar...
